A FORMER executive of Anglo Irish Bank wants to cross- examine one of the bank's managing directors about alleged "tax evasion issues" in an off-shore trust owned by the disgraced lender.

Pauline Doyle, a former director of an Isle of Man subsidiary of Anglo, owes approximately €2m to the bank. It is understood her loans were secured on shares in the now state-owned bank.

Last year Anglo obtained a judgment against Ms Doyle in the Isle of Man, where an arm of the bank is based.

This prompted Ms Doyle to seek protection from her creditors, including Anglo, in the High Court in Dublin.

Yesterday High Court judge Ms Justice Elizabeth Dunne was told that Ms Doyle wanted to cross-examine an unnamed managing director of one arm of the bank.

The cross-examination was sought "in light of the tax evasion issues" that Anglo's Isle of Man arm is alleged to have been involved in, the judge was told.

The Irish Independent has learned that Ms Doyle did not want to make the actions of certain, unidentified executives alleged to have assisted in tax evasion in the Isle of Man a major issue in her Irish protection proceedings.

But the matter came to light yesterday when her lawyers revealed that she wanted to cross-examine the managing director.

During that application, the tax evasion issues that the bank's Isle of Man arm is alleged to have been involved in were made public.

Anglo is fighting Ms Doyle's entitlement to seek court protection in Ireland. It does not believe the Irish courts have jurisdiction to deal with the case which began in the Isle of Man.

Adjourned

Ms Justice Dunne has sought legal submissions from both sides on the issue of whether the Irish courts can deal with the action and has adjourned the case until June 27 next to facilitate the drafting of the submissions.

Ms Doyle, who is now believed to be living in Northern Ireland, was a director of an offshore trust based in the Isle of Man.

In July 2009 she issued legal proceedings against Anglo in the High Court in Dublin claiming that the actions of former chairman Sean FitzPatrick and chief executive David Drumm cost her millions of euro in the value of her shares.

Both sides entered an appearance in the litigation but that case has not proceeded to trial and no affidavits (court statements) have been lodged to date.

Last night Anglo would not comment on Ms Doyle's arranging debtor action ahead of a public hearing next month.